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Indonesia to build new terminal

Indonesia to build new terminal
Indonesia is to build a new floating LNG discharge terminal north of Sumatra, even though it is currently one of the world's largest LNG exporters.

Indonesia is to build a new floating LNG discharge terminal north of Sumatra, even though it is currently one of the world's largest LNG exporters.

Indonesia is to build a new floating LNG discharge terminal north of Sumatra, even though it is currently one of the world's largest LNG exporters.

Construction plans were announced by the nation's top energy official who said the terminal's main aim was to secure natural gas supplies for regional power plant facilities.

The new floating LNG terminal is slated to feed state electrical power firm PT Perusahaan Listrik Negara (PLN).

?PLN badly needs more gas supply for its power plant in North Sumatra. We will anticipate by building an LNG floating receiving terminal there,? said Mines and Energy Minister Purnomo Yusgiantoro.

Indonesia is keen on alternative energy sources such as natural gas and coal to firstly satisfy rising domestic demands and to secondly cut its crude oil consumption as its reserves dwindle.

Said by most accounts to be the world's third largest LNG exporter after Qatar and Malaysia, Indonesia has been accused of failing to meet contractual commitments to consumer markets in Japan and South Korea.

Indonesia is accused of breaking these contractual commitments, most said to have been worked out more than a decade ago, in order to have more supplies for its own consumption.

Yusgiantoro meanwhile, has apparently directed state gas firm PT Perusahaan Gas Negara Tbk (PGN) to build the new floating LNG terminal.

A PGN spokesman has been quoted pegging the terminal's capacity at some 150 million ft³ per day.

"Building (a) floating LNG receiving terminal is quicker compared with gas pipeline," he said.

www.TurkishMaritime.com.tr

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